Country for PR: United Kingdom
Contributor: PR Newswire Europe
Saturday, May 21 2022 - 00:11
FII Institute unveils new Inclusive ESG (TM) Framework and Scoring Methodology & announces strategic investment in leading green tech firm
RIYADH, Saudi Arabia, May 20, 2022 /PRNewswire-AsiaNet/--

The Future Investment Initiative (FII) Institute hosted a London summit about 
ESG in Emerging Markets, involving world leaders, global CEOs, international 
investors, thought leaders and heads of sustainability, where:

-  It unveiled a new Inclusive ESG(TM)Framework and Scoring Methodology to 
inform and accelerate ESG investments in emerging economies;
-  It launched an ESG White Paper calling on investors, governments and 
companies in emerging markets to raise their game; and
- It announced an investment of €500,000 in Timbeter, a leading green tech 

The new Inclusive ESG(TM) Framework and Scoring Methodology aims to give 
unbiased ratings for companies in emerging markets who currently receive less 
than 10% of ESG flows, despite being home to nearly 90% of the world's 
population and roughly half of global GDP. ESG rating agencies are one of the 
main barriers to increasing investment in emerging markets (EMs). Currently, 
mainstream rating agencies employ KPIs not relevant to EMs. The existing 
frameworks focus too much on disclosure and ignore year-over-year performance 
improvement. The new framework, developed with the support of Ernst & Young 
(EY), values performance improvement over time more than breadth of disclosure, 
emphasizing sectoral challenges rather than country risks, to ensure fair 
competition between companies in both emerging markets and developed markets.

The FII Institute is putting its money where its mouth is by investing €500,000 
in Timbeter, a leading green tech company specialising in timber measurement. 
To increase supply chain transparency, sustainability and certification, in 
line with ESG processes, Timbeter provides an AI-driven photo-optics 
application that accurately determines the quantities of logs in an area with 
precise length and diameter. This technology is key to a more proactive 
management of forests and a more sustainable sector.

The ESG White Paper is designed to encourage greater ESG investment in emerging 
markets. It calls on:

-  Investors to publicly commit to raising the portion of capital allocated to 
emerging markets (EMs) from less than 10% today to a minimum of 30% of 
committed and invested capital by 2030.
-  Governments to encourage emerging markets-headquartered companies to become 
more proactive at disclosing relevant information through their normal 
reporting channels.
-  Companies headquartered in emerging markets to strengthen their narrative 
explanation for how ESG actions align with local realities and drive enhanced 
value for all stakeholders, including risk management for investors.

Richard Attias, CEO of the FII Institute, said, "Central to our work at FII 
Institute is to increase awareness about the weaknesses in current ESG 
standards and their impact on global sustainability prospects, and to advocate 
for an inclusive and equitable application of ESG through driving real action 
by key players globally.

"ESG has been one of the fastest growing investment strategies over the past 
few years, accounting for one third of all assets under management. But this 
growth is not even. Working with our partners at EY, we identified and removed 
the barriers to ESG investment in emerging markets, which are often overlooked. 
By launching the Inclusive(TM) ESG Framework and Scoring Methodology, investing 
in a global sustainable solutions company, and publishing our recent ESG white 
paper – we are making tangible actions to create a better future for humanity. 
And we are confident that our partners around the world will help us drive 
those actions further."

Notes for editors

The "ESG in Emerging Markets" summit featured more than 40 international 
leaders and experts who provided their insights on the future of ESG and the 
future of sustainability. The speakers included H.E. H.E. Yasir Al-Rumayyan, 
Chairman of FII Institute, Governor of the Public Investment Fund, and Chairman 
of Saudi Aramco; H.E. Dr. Yasmine Fouad, Minister of Environment of Egypt; 
Larry Fink, CEO of Blackrock; Senator Matteo Renzi, Former Prime Minister of 
Italy; Lord Gerry Grimstone of Boscobel Kt, Minister of Investment of the UK; 
David Schwimmer, CEO of London Stock Exchange Group; among others.

The FII Institute is a global non-profit organisation launched in 2019 to drive 
forward one agenda – impact on humanity. Since its inception, the Institute has 
launched several initiatives to create inclusive ESG principles and improve ESG 
performance to create a brighter, more sustainable future for humanity.


Reem Alsaud;

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SOURCE: FII Institute